After nearly 18 months, USDA's Office of Inspector General concluded a review finding no basis for the handful of allegations the American Soybean Association (ASA) alleged against the United Soybean Board (USB) and the U.S. Soybean Export Council (USSEC).
First filed on Dec. 10, 208, ASA called for an investigation of USB and USSEC to ensure that soybean checkoff dollars were being managed and invested as prescribed by law. ASA's allegations included no-bid contracting violations, firing whistleblower employees, conflicts of interest, improper and wasteful expenditure of checkoff funds and potential evasions of salary and administrative caps established in the national soybean checkoff act.
The OIG recommended that USB increase its oversight of the USSEC, the organization that carries out checkoff-funded international marketing programs. Phil Bradshaw, USB Chairman & Illinois soybean farmer, said this increased oversight began when the contract was renewed in 2008.
"It is standard practice for the farmer-leaders of our board to continually evaluate the effectiveness, value and efficiencies of our contractors. With a detailed review of the USDA report, we will consider additional opportunities where oversight may be necessary," Bradshaw said.
A statement from ASA said, it is pleased it can put this issue behind the industry. "When whistleblowers presented significant allegations of abuse, the ASA Board of Directors had a fiduciary responsibility to ask that the allegations be investigated in the best interests of soybean farmers. The Secretary of Agriculture agreed that an OIG investigation was warranted," ASA said in a statement.
Substantial management and board changes have been made at the U.S. Soybean Export Council (USSEC) after ASA asked for an OIG investigation. The now former USSEC CEO was placed on administrative leave and the board of directors has been restructured. "As a result of the significant leadership and management changes that have been made at USSEC, we believe soybean farmer interests are being better served," ASA said.
A survey of U.S. soybean farmers conducted in February showed that 75% of U.S. soybean farmers support the soybean checkoff. In addition, last year U.S. soybean farmers had the opportunity to request a referendum on the soybean checkoff and only 759 of more than 589,000 eligible U.S. soybean farmers did so, USB said in a statement.
Based on the most recent return-on-investment study required by federal law, U.S. soybean farmers received a $6.40 return for every one checkoff dollar invested for U.S. soy research and promotion.
Policy is one of the most important issues facing farmers today, but often the most difficult to digest. Jacqui Fatka has a passion to decode the often difficult world of agricultural policy into terms understandable for today's ag players.
Fatka joined the Farm Progress team as E-Content Editor in August 2003 after graduating from Iowa State University. Prior to full-time employment with Farm Progress, she interned at Wallaces Farmer magazine, Iowa Sen. Chuck Grassley's press office and the Iowa Pork Producers Association and freelanced for National Hog Farmer. She also worked as a public relations consultant with Iowa Industries for the Future, an effort to bring together major players in the biorenewables industry.
Currently Fatka is a staff editor at a sister publication, Feedstuffs. For Farm Futures she regularly tells the story of ongoing agricultural policy changes. Her byline can also be found on management profiles.
Fatka grew up on a grain and livestock farm near Atlantic, Iowa. She currently lives in central Ohio with her husband Eric.
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